How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Patrick H. Your Own Question
Patrick H.
Patrick H., Lawyer
Category: Australia Law
Satisfied Customers: 5375
Experience:  Dip Law LPAB - Sydney based lawyer
61534878
Type Your Australia Law Question Here...
Patrick H. is online now
A new question is answered every 9 seconds

I have received a claim on funds held as part of a contra deal

This answer was rated:

I have received a claim on funds held as part of a contra deal established in 2000. I wrote to the person in June 2009 stating that if the remaining funds were not utilsied within 12 months of the date of that letter they would be forefieted.
Is there a statute of limitations on such arrangements?
Could you elaborate on the nature of your arrangement. Describing it as a "contra deal" is a little too vague to allow a reliable answer?
Customer: replied 3 years ago.

A contra deal was done to provide travel in exchange for services rendered on a dollar for dollar basis. Is that sufficeint informaiton?


 


Your agreement will be governed by contract law, and a claim under a contract can be brought up to 6 years after the date on which the cause of action accrued.

If the agreement was open ended, (i.e. did not specify when the party should collect) then arguably the limitation period won't commence until after they request their entitlement. Understand that it is not the date the contract is made that commences the limitation period, it is the date on which payment was due, so if there is no date specified or implied, then arguably it has only just started to run.

That said, if the agreement was for you to provide services, and not cash then, unless some provision of the agreement made provision for accepting cash as an alternative, they are very arguably not entitled to be paid in cash. Whilst whether this argument would succeed in court will depend on the exact terms of the agreement and the circumstances in which it was made, any uncertainty could be used as a bargaining point to negotiate payment of a lesser sum than their full claim if you choose to settle the matter by compromise.

I trust the above assists.

Please rate my answer so I can be paid by the website operator.

Please note I am only paid if you rate me with three or more stars/smileys.

Thank you and good luck.

Patrick

Patrick H. and other Australia Law Specialists are ready to help you